HOW TO ENFORCE IT: REQUIRE PROOF AND LIST YOURSELF AS CERTIFICATE HOLDER
A best practice is to require proof of coverage before move in and to require that the landlord (or property manager) is listed as a Certificate Holder on the tenant’s renters insurance policy. As Certificate Holder, you receive notice of the coverage limits, renewal notices, and most importantly, notice if the renters insurance cancels.
If a tenant cancels their renters insurance and you receive notice, you should follow your local legal process and issue a 3 Day Notice to Cure or Quit (or the equivalent notice required in your state). This creates a paper trail, reinforces that the requirement is part of the lease, and prevents long gaps where the tenant remains uninsured.
CONCLUSION: A SMALL REQUIREMENT THAT PREVENTS BIG LOSSES
No landlord can prevent every accident, loss, or dispute. But landlords can reduce the financial fallout of those incidents by requiring renters insurance. It does not replace landlord insurance. It complements it, creating clearer boundaries and better protection for everyone involved. For most landlords, the cost is not the issue. Renters insurance is often relatively affordable, and
many tenants can bundle it with auto insurance. The real question is whether landlords can afford not to require it. Because when the unexpected happens, it is rarely the tenant without coverage who pays the biggest price. It is the landlord who gets pulled into the mess.
Make it easy for your tenants - suggest Liberty Mutual insurance to your tenants using this link or call 800-459-4309.
PAGE 41
Powered by FlippingBook